Page 316 - Social Enterprise A New Business Paradigm for Thailand

(1) Farmers now benefit from secure market access. Through MOUs with San Palung Social
Enterprise Co., Ltd. under the resource-conserving production system, participating farmer
groups have gained stable buyers and reliable income. To date, these groups have earned a

cumulative income of 163 million baht from the project.

(2) Farmers’ bargaining power has improved. For example, the Ban Sam Soong community
enterprise achieved a 30 percent increase in its market leverage, enabling it to sell coffee to
middlemen at prices 15 baht per kilogram higher than those offered by San Palung.

(3) Household expenses have decreased. By growing coffee alongside forest and fruit trees,
farmers can consume homegrown produce, reducing the need to purchase vegetables and fruit
from outside sources.

(4) Labor has returned to rural communities. Improved quality of life has encouraged former
migrant workers to return home, reducing family separation and associated social challenges.

(5) Slash-and-burn agriculture has declined. In Ban Pha Lang, coffee cultivation has replaced

roughly 30 percent of the land previously used for corn farming, an activity that often involved
field burning, contributing to improved environmental stewardship.

(6) Forest conservation awareness has increased. Under the company’s coffee procurement
process, San Palung provides Advantage payments to farmers who adopt environmentally
friendly practices, based on criteria outlined in the MOU.

(7) Watershed ecosystems have been preserved. Farmers’ adoption of conservation-based
coffee cultivation has helped protect Class 1A watershed zones and sustain critical ecosystem

services.

(8) Chemical usage in coffee farming has declined. In Ban Pha Lang, participating farmers have
reduced the use of agrochemicals, leading to healthier local ecosystems.

In addition to these core outcomes, the project has delivered broader benefits to a wide range
of stakeholders. These include greater income stability for farming households, improved food
security, strengthened social cohesion, and the return of labor to local communities, all of which
have contributed to stronger family structures and more peaceful, sustainable villages. The
initiative has also empowered farmers with the knowledge and capacity to engage in
sustainable agriculture. This in turn has helped prevent wildfires, reduce PM2.5 air pollution,

and preserve upstream forest ecosystems, biodiversity, and the surrounding environment.

From a social enterprise standpoint, the CCS Project exemplifies how commercial value can
align with public good. Over the course of the initiative, coffee sales generated approximately
27 million baht in revenue (adjusted to 2017 base-year prices), illustrating the project's ability
to create mutually reinforcing economic and societal returns.

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